A rundown of recent top FCRA, TCPA and FDCPA cases from ACA.
10/13/2023 3:00 P.M.
3 minute read
Each week, ACA International’s compliance team covers relevant case summaries for ACA members. Members may also submit cases for consideration to our compliance team at [email protected].
Here are the cases covered Oct. 10-13:
Oct. 10:
Papadimitriou v. Mullooly: Court Finds No Standing for FDCPA Claims Based on “Substantiation” Letter
The court found that the consumer’s allegations of feeling anxious, harassed and intimated by the defendant’s collection attempts did not give rise to standing. Additionally, the court also found that even if the plaintiff did have standing, the plaintiff’s claims that the substantiation letter he received was inadequate failed on the merits.
Continue reading the case summary here.
Schulte v. Newrez: Court Holds Consumer is Liable for Attorney’s Fees Incurred in Bankruptcy
A consumer claimed that a mortgage servicer was trying to collect attorney’s fees for a bankruptcy that was dismissed four years before the property was in foreclosure. The servicer claimed that they were entitled to the fees.
Continue reading the case summary here.
Oct. 11:
Perrong v. Bradford: Court Finds the Word ‘Number’ in the Definition of an ATDS Refers to a Telephone Number
The court held that the phrase “random or sequential number generator” as it is used in the TCPA refers to the generation of telephone numbers as opposed to the generation of numbers that determine the order in which a machine calls supplied telephone numbers.
Continue reading the summary here.
Salaiz v. Beyond Finance: Court Finds Liability for Telemarketer’s Failure to Register Autodialer with the Texas Public Utilities Commission
A Texas federal district court opined that a TCPA plaintiff had sufficiently alleged that during 10 of the 13 telephone solicitations at issue, the defendant did not have a registration certificate to use an autodialer as required under Section 302.101 of the Texas Business and Commerce Code.
Continue reading the summary here.
Oct. 12:
Lombard Flats LLC, v. Fay Servicing LLC: Court Declines to Find Mortgage ‘Investment’
A California district court declined to find at the motion-to-dismiss stage of the case that the plaintiffs’ debt was a commercial debt based solely on the fact that the loan application listed the property as an “investment” property rather than a primary or secondary residence.
Continue reading the summary here.
Sadigh v. Educational Credit Management Corp: Court Unable to Determine if a Fiduciary of the DOE Was Also a Debt Collector Under the FDCPA
A consumer received a collection letter concerning some very old student loans that had been reduced to judgment. The consumer claimed that some debt collectors were charging her the state interest rate when they should be charging her the federal interest rate.
Continue reading the summary here.
Oct. 13:
Korth v. Credit Control: Consumer Did Not Prove Debt Collector Knew About Cease Communication Request
A consumer sued a debt collector for contacting him after sending a cease communications letter to the creditor. The debt collector moved to dismiss the case.
Continue reading the summary here.
Frazier v. Dovenmuehle Mortgage: 7th Circuit Adopts the Standards Used by Other Circuit Courts for Evaluating FCRA Claims Under Section 1681s-(2)(b)
In adopting the standard used by other circuit courts for evaluating claims under Section 1681s-(2)(b), the 7th Circuit held that the reporting of a closed or settled account with a $0 balance, but with a past due payment history, is not inaccurate or misleading when taken in the context of the entire report.
Continue reading the summary here.
Visit the Industry Advancement Fund webpage for more Daily Decision recaps and compliance resources.
If you’ve recently obtained a judicial opinion that might benefit other ACA members, email it to us: [email protected].
- Join the discussion on legal and compliance topics with your fellow members on the Members Attorney Program community on The Hub. Simply log on to The Hub and select Members Attorney Program under the Communities menu.
- ACA’s Daily Decision is powered by ACA’s Litigation Advocacy and Compliance Teams.